On his last day as Volkswagen Group’s CEO, Herbert Diess shared footage from his farewell dinner. The video clip captures the 63-year-old grabbing a microphone, asking his colleagues to gather a little closer and then making a prediction: Other old-guard manufacturers will have trouble with software just as VW has.
“Where we are struggling through,” Diess said, “that will be the same for everybody else.”
The comment was a nod to issues many VW owners are having with their vehicles, from freezing touchscreens to buggy driver-assistance functions customers are opting to just turn off.
Trouble at the company’s software unit Cariad is delaying crucial new models from Porsche and Audi and one of the major reasons Diess was forced to make way this month for new CEO Oliver Blume.
While traditional automakers have been quickly retooling factories to make EVs and investing heavily in battery-making capacity, their software efforts appear more hit-and-miss.
The sheer amount of new in-vehicle digital features is expected to create fresh revenue streams and boost profit margins.
Manufacturers are going to have a hard time reaping those potential rewards without faster software development and smoother user experiences.
Hani Joudi 
